The Home Market Has Adopted a Policy of Increasing the Annual

The Home Market has adopted a policy of increasing the annual dividend on their common stock at a constant rate of 3.75% annually. The firm is paying an annual dividend of $1.10 today. What will the dividend be five years from now?

A) $1.16
B) $1.27
C) $1.32
D) $1.37
E) $1.45